Blew up a $10k account, still interested. Am I too old/dumb/naive/in the wrong location?
- Thread starter theblacktrades
- Start date
Haha. My girlfriend has learned and forgotten more about the HFT game just listening to me ramble than you understand right now. Get in touch if you ever want to learn anything remotely factual about HFT. Until then, let me just say that it would be my pleasure to be your counterparty.
Completely agree.
I know very little about "Quantum methods" use in the stock market beyond the numerous articles I've read online the past 2 years ever since a tech documentary on TV about D-Waves computers. I know several big name firms like Goldman Sachs is investing in the technology to determine its use in the markets beyond the current "theories".
It's also "theorized" that in the beginning only the wealthy firms can afford the technology prior to it becoming available to the retail folks.
My point as stated earlier to Q3D, trading has been here since the 17th century and we've had a lot of incredible technological advances that Wall Street has taken advantage of. Yes, initially all new technology use begins at the top and then is used by the bottom retail folks.
As researchers stated...if Quantum becomes available...just like all prior new technologies...Quantum Financial Algorithms use begins at the top and eventually filters down to the bottom (retail). A recent example is algorithms itself, it begin at the top and is now being used by retail traders that have the knowledge and resources to compete with the big institutions.
Google is now involving it in its chrome browser experiments. Thus, is an example of a company using Quantum computing in other areas outside the market in an effort to make it available to the general public. In fact, Microsoft released its Quantum computing simulator to the general public so that academics, scientists and even do-it-yourself eggheads can simulate quantum computing on their laptops.
http://fortune.com/2015/11/13/microsoft-quantum-computing-simulator/
Simply, everyone will have access to it because it will be available to the consumer (general public) and I'll be shocked retail traders will just sit there and not take advantage of the new technology just as retail traders are now taking advantage of algorithm trading.There's also a growing number of discretionary traders getting better at riding the coat-tail of algos and it doesn't involve scalping.
Note: A particular sub-group of discretionary trading is called scalpers. Most can't compete because they don't have competitive fees except for those that have a seat on the exchange, using an execution platform suitable for scalping and so on.
Too bad someone like Q3D is trying to scare retail traders with this info instead of understanding when it becomes of applicable...most will have access to it at the same time when Wall Street begins applying it in real life...thanks to companies like Google and Microsoft.
As for us discretionary traders, our goal is not to compete with other retail trading or professional firm using algorithms. In contrast, just ride their coat-tails but we must understand one key point about automation or algorithm trading...
Not all of them are profitable because they primarily compete with each other. That's the issue I don't understand because if algorithms are so smart...why would one be buying and the other is selling as if they have different views about the market direction even though that view is for a few ticks/pips ???
Can someone enlighten me about the above...one algo say the direction will be up and another algo say the direction will be down. Thus, if they are so smart and fast...why aren't all of them able to do trades in the same direction at the same time.
Also, a key element is the pending regulations as more regulators get involved especially involving a key element involving algos..."order cancellation rates" that gives the algo a huge advantage. The regulators have openly stated this is "bad behavior" and borders being "illegal" because it lacks transparency due to old rules being taken advantage by HFT instead of the rules being updated for current market environment.
If those rules get updated along with removing special privileges enjoyed only by HFT algo firms and quantum trading becomes available for the retail public as is the goal of companies like Google and Microsoft...there's going to be a completely different ball game...a fair game.
Traders adapt with every new technology...it has always been that way and will always be that way since the 17th century.
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Mav
Are there any particular MOOC's you recommend? I wouldn't mind studying some free stuff during my downtimes
What do you trade? Fundamental or technical? Long term or short term? Just trying to narrow it down here because there are thousands of courses. And there are NO limits to what you can learn.....for free!!!!
Intraday equities. PA/Technical trader
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Long story short, mr b trender;
IBD[investors business daily newspaper] compares trading to medical school.
No way is 10k going to be enough for a med or trading school education; those that did it for less than $10,000 pay more later. You should trade + invest; + compare the results say- over 7 years, 10 years................................
Wisdom is profitable to direct; congrats on the cash S& P profits.
PS ;who got the dividends on S& P cash stocks, some one did??????? SPY yields better than 2%, SDY does 2 .....NOT a prediction.
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Uhhh...